What to buy now with the ASX at a record high

Analysts think these shares could still rise strongly from current levels.

| More on:
Person pointing at an increasing blue graph which represents a rising share price.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Australian share market has climbed to a fresh record high this week, and for some investors, that raises a big question: what's worth buying when the market already feels expensive?

The answer isn't to sit on cash and wait. Historically, the ASX has hit many record highs, only to continue to climb higher and higher.

The key is to focus on ASX shares with strong fundamentals, long-term growth drivers, and resilience — companies that can keep compounding even if markets cool off.

With that in mind, here are two ASX stocks that analysts think could still have plenty of upside left in them:

NextDC Ltd (ASX: NXT)

The first ASX stock to look at is NextDC. It is riding the global surge in demand for cloud computing and data centres. With a nationwide network of Tier III and Tier IV facilities, and partnerships with over 750 IT and cloud service providers, it sits at the heart of Australia's digital economy.

The company is investing heavily in new facilities to meet soaring demand from hyperscalers and enterprise customers across Australia and the Asia-Pacific region.

The team at Morgans expects this to underpin strong earnings growth over the next decade.

As a result, its analysts recently put a buy rating and $18.80 price target on NextDC's shares. Based on its current share price, this implies potential upside of 30%+ from current levels.

WiseTech Global Ltd (ASX: WTC)

Another ASX stock that could be a buy while the market is at a record high is WiseTech Global.

This technology company continues to dominate the logistics software market with its flagship CargoWise platform, which is used by freight forwarders and logistics companies worldwide.

This best in class software simplifies and automates complex global supply chain operations. It integrates everything from customs compliance to warehouse management into a single platform, helping customers operate more efficiently across borders.

WiseTech Global has been growing at a rapid rate for many years and appears well-placed to continue this trend as delivers on its aim to become the operating system for global logistics.

UBS expects this to be the case. Its analysts see plenty of upside ahead for investors and recently put a buy rating and $145.00 price target on its shares. Based on its current share price, this suggests that they could rise by a sizeable 20% from where they trade today.

Motley Fool contributor James Mickleboro has positions in Nextdc and WiseTech Global. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Growth Shares

A happy boy with his dad dabs like a hero while his father checks his phone.
Growth Shares

Why these ASX growth shares could still be early in their story

Looking for long-term winners? Here are three that could be worth considering.

Read more »

A man clenches his fists in excitement as gold coins fall from the sky.
Growth Shares

These 2 ASX shares are set to soar in 2026 and beyond

Bell Potter believes these shares could rise materially this year.

Read more »

Four piles of coins, each getting higher, with trees on them.
Growth Shares

2 ASX growth shares I'd buy today for growth and income

I’m expecting a lot of passive income and expansion from these names…

Read more »

a man looks down at his phone with a look of happy surprise on his face as though he is thrilled with good news.
Growth Shares

2 stocks that could turn $100,000 into $1 million by 2035

Looking for big returns? Here are two stocks with bucketloads of growth potential.

Read more »

Woman in celebratory fist move looking at phone
Growth Shares

Down 40% to 50%! Why I think these ASX growth shares are strong buys

Several established growth shares have been heavily sold off as sentiment shifted. In some cases, the business may be healthier…

Read more »

A man throws his arms up in happy celebration as a shower of money rains down on him.
Growth Shares

2 incredible ASX shares to buy in February

These investments have significant potential in the years ahead…

Read more »

A white and black clock face is shown with three hands saying Time to Buy reflecting Citi's view that it's time to buy ASX 200 banks
Growth Shares

Brokers rate these 3 top ASX shares as buys for February

Experts rate these businesses as a buy, here’s why…

Read more »

Young woman using computer laptop smiling in love showing heart symbol and shape with hands. as she switches from a big telco to Aussie Broadband which is capturing more market share
Growth Shares

These Australian stocks have serious growth potential in 2026

With 2026 underway, some Australian shares are showing the combination of momentum, scale, and structural tailwinds that can drive outsized…

Read more »